Boffin99:I agree with your point that the values of $10 and $15...

Boffin99:

I agree with your point that the values of $10 and $15 are "engineered", and the Bell Potter Report in effect accepts that with much of the discussion recognising the potential for a far greater valuation, but tones down that possibility in the final paragraph:

"Being a biotechnology stock carrying significant biotechnology risk, our valuation is limited to 100% upside from the current market price. Revised valuation is $10.00/share and we retain our Buy (Speculative) rating."
Strangely in the week prior to and including 31/07/24 (the date of the report) CU6 was always higher than $5 (thus $10 is below 100% upside).

Within that Valuation section Bell Potter appears to acknowledge the potential for a far greater Target Price, both using its DCF model based on TAM of the diagnostics (as Ma420 has already alluded to), and the current state of values implied from recent takeovers, notwithstanding that Clarity holds a "superior IP position" to some of those takeover companies, and "the assets in clinical stage development by CU6 continue to show outstanding safety with good indications of efficacy supported by composition of matter patents."

The current values of takeover targets clearly has led the market higher for CU6, regardless of the ebbs and flow of price now caused by general sharemarket volatility.